Melexis Q2 2023 results – Second quarter sales of 236.7 million EUR
Press release - Regulated Information
Intermediate declaration by the Board of Directors
Ieper, Belgium – August 2nd, 2023, 07.00 hrs CET
Sales for the second quarter of 2023 were 236.7 million EUR, an increase of 14% compared to the same quarter of the previous year and an increase of 4% compared to the previous quarter. The EUR/USD exchange rate evolution had a negative impact of 1% on sales compared to the same quarter of last year and a negative impact of 1% on sales compared to the previous quarter. The gross result was 111.3 million EUR or 47.0% of sales, an increase of 19% compared to the same quarter of last year and an increase of 8% compared to the previous quarter. R&D expenses were 10.9% of sales, G&A was at 5.1% of sales and Selling was at 2.4% of sales. The operating result was 67.5 million EUR or 28.5% of sales, an increase of 18% compared to the same quarter of last year and an increase of 11% compared to the previous quarter. The net result was 51.9 million EUR or 1.28 EUR per share, an increase of 9% compared to 47.6 million EUR or 1.18 EUR per share in the second quarter of 2022 and an increase of 2% compared to the previous quarter.
Sales for the first half year of 2023 were 465.3 million EUR, an increase of 19% compared to the first half year of 2022. The EUR/USD exchange rate evolution had no impact on sales compared to the first half year of 2022. The gross result was 214.1 million EUR or 46.0% of sales, an increase of 21% compared to the same period last year. R&D expenses were 10.8% of sales, G&A was at 5.2% of sales and Selling was at 2.3% of sales. The operating result was 128.6 million EUR or 27.6% of sales, an increase of 20% compared to 107.1 million EUR in the same half year of 2022. The net result was 102.8 million EUR or 2.54 EUR per share, an increase of 7% compared to 96.2 million EUR or 2.38 EUR per share in the first half year of 2022.
The Board of Directors decided to pay out an interim dividend of 1.30 EUR gross per share. The Melexis shares will start trading ex coupon on October 17, 2023 (opening of the market). The record date is October 18, 2023 (closing of the market) and the dividend will be payable as from October 19, 2023.
Melexis expects sales in the third quarter of 2023 in the range of 245 to 250 million EUR. For the full year 2023, Melexis now expects a sales increase between 14% and 16% (previously between 11% and 16%), with a gross profit margin of above 45% (previously around 45%) and an operating margin of around 27% (previously around 26%) at the midpoint of the sales guidance, all taking into account a EUR/USD exchange rate of 1.10 for the remainder of the year. For the full year 2023, we expect CAPEX of around 100 million EUR (previously 70 million EUR).
Business comment – Marc Biron, CEO:
“With 236.7 million EUR, Melexis achieved a year-over-year sales increase of 14% in the second quarter of 2023, landing at the higher end of the guidance. As we have been able to realize a steady sequential growth, we are increasing our full-year sales and profit guidance. Furthermore, we now expect higher capital expenditures than forecasted at the start of 2023, mainly as a result of the swift execution of the construction of our new probing facility in Malaysia.
Current sensors, embedded motor drivers, magnetic sensors and embedded lighting were the best-performing product lines in the first half of 2023, reflecting our success in both electric powertrain and body, chassis and safety applications. Some examples of applications benefiting from those products include inverters and thermal valves in electric vehicles as well as applications independent of the powertrain, such as electric air vents, air conditioning flaps, electric brakes and interior ambient lighting. We launched a new embedded motor driver that improves thermal and expansion valves in electric vehicles, extending their range. We also unveiled a time-of-flight sensor for safety applications such as dynamic airbag deployment and driver attention monitoring.
Sales to automotive customers represented 91% of total sales, in the second quarter as well as in the first half of 2023. The portion of standard product (ASSPs) sales represented 75% of total sales in the second quarter and 76% of total sales in the first half of 2023.
Looking beyond 2023, our opportunity pipeline and design wins are growing steadily in all product lines. We have the right technologies to support the journey towards a more sustainable, safer and healthier future.”
The statutory auditor, PwC Bedrijfsrevisoren BV / Reviseurs d'Entreprises SRL, represented by Griet Helsen, has confirmed that the review of the Consolidated Income Statement, the Consolidated Statement of Financial Position and the Consolidated Statements of Cash Flow as per June 30, 2023, is substantially completed and concluded that to date, based on the review, nothing has come to the attention that causes them to believe that the Consolidated Income Statement, the Consolidated Statement of Financial Position and the Consolidated Statements of Cash Flow is not prepared, in all materials respects, in accordance with IAS 34, as adopted by the European Union.
- Dividend pay date: October 19, 2023 (ex coupon on October 17, 2023)
- Publication Q3 Results 2023: October 25, 2023 (at 7 hrs CET)
- Capital Markets Day: November 14, 2023
- Publication FY 2023 Results: February 7, 2024 (at 7 hrs CET)
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